As a leader within a healthcare organization, whether large or small, you need to understand the governance structure of the organization and your role.
What are the three components of the governance structure of a healthcare organization?
What is the difference between corporate governance and clinical governance? Are they independent or co-dependent?
What are the main areas of organizational performance oversight for the governing body of a healthcare organization and what tools are used to monitor performance?
Imagine yourself in the role of a department head, what would your responsibilities be in the governance of the organization?
Full Answer Section
- Management: The CEO leads the day-to-day operations of the organization, implementing the board's policies and overseeing
departmental activities. Department heads report to the CEO and
manage specific areas like nursing, finance, or information
- Medical Staff: Physicians and other licensed healthcare professionals provide clinical care to patients. They have an independent governing body (e.g., Medical Executive Committee)
that focuses on clinical quality standards, patient safety, and
peer review.
Corporate vs. Clinical Governance: Partners, Not Rivals
- Corporate Governance:Focuses on the business and legal
responsibilities of the organization. The governing body oversees
financial performance, compliance with regulations, and overall
strategic direction.
- Clinical Governance:Concerned with the quality and
safety of patient care. The medical staff governs itself through
clinical practice guidelines, peer review, and mortality and
morbidity reviews.
Co-dependence, not Independence: These two aspects are
interdependent. Corporate governance ensures the financial
sustainability needed to support high-quality clinical care.
Conversely, effective clinical governance maintains a positive
reputation and attracts patients, contributing to financial
stability.
Overseeing Performance: A Governing Body's Toolkit
The governing body holds management accountable for organizational
performance through various tools:
- Financial Statements:Reviewing budgets, financial reports, and
key performance indicators (KPIs) on financial health and resource
- Quality and Safety Reports:Monitoring data on patient outcomes,
infection rates, readmission rates, and patient satisfaction
surveys to assess the quality of care provided.
- Strategic Plan Reviews:Evaluating progress towards long-term
goals and making adjustments as needed.
- Internal Audit Reports:Utilizing internal audits to identify
areas for improvement in compliance, efficiency, and risk
Your Role in Governance as a Department Head
As a department head, you contribute to good governance in several ways:
- Implementing Board Policies:Ensuring your department follows
policies and procedures established by the governing body.
- Financial Stewardship:Managing your department's budget
efficiently and reporting on expenditures.
- Performance Monitoring:Tracking key metrics related to your
department's performance and reporting findings to senior
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- Quality Improvement:Continuously striving to improve the quality
and efficiency of services provided by your department.
- Communication:Keeping senior management informed of
departmental issues and needs that may affect overall
organizational performance.
By fulfilling these responsibilities, department heads play a
critical role in supporting good governance and ensuring the
organization achieves its strategic objectives.